Hotels, investments jumped 63% in the first half of the year. And will grow again by 2027

Forecasts for the three-year period 2025-2027 outline a favourable scenario for the Italian hotel sector, with investments expected to grow by +19% in 2025, rising to +25% in 2027, compared to 2024.
This is what emerges from the research carried out by Research & Data Intelligence of Patrigest, a Gabetti Group company, according to which hospitality is a sector in evolution, between quality, investments and new tourist flows. The report photographs an Italy that is increasingly central to global tourism and attractive for hotel investments. The sector is undergoing a phase of profound transformation: international flows are growing, demand for high-end facilities is consolidating, and investments are increasing, particularly invalue-add and repositioning operations. In 2024, Italy was among the top European countries for corporate investments in hospitality, both in terms of volume (€2 billion) and weight (20%) of total investments.

"The scenario outlined by our report," said Luca Dondi dall'Orologio, managing director of Patrigest/Gabetti Group, "shows an accommodation sector in full evolution, supported by a growing international demand, strong qualitative drives and favourable macroeconomic conditions. Italy is confirmed as a protagonist on the European tourism scene, with wide margins for development for those who know how to intercept and exploit the new hospitality trends. More than 54% of tourists today choose 4- and 5-star hotels, against an offer still centred on the mid-range: a discrepancy that represents a strategic repositioning opportunity for many existing structures. At the same time, the short term accommodation offer is proving essential to sustain the volumes of arrivals and presences recorded in recent years, making a decisive contribution to the overall attractiveness of tourist destinations. The premium trend is also evident on the investment front, where high-end hotels accounted for more than half of the volume transacted in the first half of 2025'.

In H1 2025, a total of EUR 5.1 billion was invested in the corporate sector in Italy, +44% compared to the same period in 2024. Specifically, around EUR 1.25 billion was invested in the hospitality sector, 24% of the total, the second best performance for a first half year, after the more than EUR 2 billion recorded in H1 2019. Most investments were recorded in Northern Italy (55%), followed by Central Italy (23%), thanks to the performance of Rome (an area where 17% of the total volume was transacted), and Southern Italy (22%). Besides the Capital, the most dynamic provinces were Como (20% of the volume), Venice (17%), Naples (15%) and Milan (12%). The shores of Lake Como are now confirmed as being among the most sought-after locations for hospitality investors. Among the most significant deals in the first half of 2025 were the sale of the luxury hotel Cesar Augustus in Anacapri, for approximately EUR 160 million, and the JW Marriot in Venice for approximately EUR 140 million. Stakeholders' primary interest in investments in high-end structures is confirmed: 5-star hotels make up more than half of the transacted volume (54 per cent), followed by 4-star hotels with 38 per cent.

In Rome and Milan, arrivals compared to last year increased by +13.8% and +10.4% respectively. Tourists are mainly foreigners (70 per cent), the average stay in these two cities is up compared to the pre-covid period, and the average occupancy is confirmed at 80 per cent. High-end hotels (4- and 5-star) are increasing in number: in Milan, compared to 2019, there is a +16 per cent increase, in Rome a +42 per cent increase.In Venice and Florence, arrivals compared to last year were slightly up, by +3.7 per cent and +1.4 per cent respectively. Here, too, tourists are predominantly foreigners, with a share of around 80 per cent; the average stay, however, has decreased compared to the pre-covid period, with an occupancy of around 74-79 per cent. High-end hotels (4 and 5 stars) are increasing in number: in Venice, compared to 2019, there is a +15%, in Florence a +4%.The interest of operators and investors is starting to shift from primary locations to seek returns and new opportunities in emerging or 'newly emerging' markets. These include Lake Como, Sardinia, Lake Maggiore, the Riviera delle Palme, and the Dolomites, increasingly on investors' radar. High tourist demand, increasing flows, and a still unsaturated supply make these locations ideal for investors. Among these, Lake Maggiore is confirmed as the area with the highest foreign vocation, as domestic tourism is often local or second homes. This is followed by the Dolomites (56 per cent foreigners) and Sardinia (52 per cent).

The forecasts outlined by Patrigest's Research & Data Intelligence team for the coming years on tourist flows show a gradual recovery of the foreign component, with non-residents expected to grow steadily until 2027. On the contrary, domestic flows show signs of stabilisation, with marginal variations and a slight decrease in the medium term. Overall, the domestic tourism market is moving towards a post-pandemic equilibrium, driven by international demand. Forecasts for the three-year period 2025-2027 outline a favourable scenario for the Italian hotel sector, with investments also expected to grow by +19% in 2025, to reach +25% in 2027, compared to 2024.